Troubleshoot 1099 e-filing powered by TaxBandits

Find popular solutions to issues that you might encounter while using 1099 e-filing powered by TaxBandits.

Enable e-filing

1099 e-filing powered by TaxBandits is available as a limited release feature on a first come, first serve basis. The option to enable it appears on the Configure Accounts Payable page, under 1099s.

If the option appears grayed out, this means that you need to enable Sage Cloud Services first. After you enable Sage Cloud Services, you can enable 1099 e-filing powered by TaxBandits.

If you do not see the option at all, this means that the limited release has ended. You can still file electronically by exporting a 1099 file and uploading it to a third party vendor.

When the Accounts Payable menu shows 1099 options at the top level only, this means that your company is not set up to issue 1099s at the entity level.

If this is in error, ask your administrator to update your configuration in Multi-Entity Management and select Issue a separate 1099 per entity.

Correct errors

When a batch fails because a PayerID is missing, this typically means that the Legal name field in the Company record is empty.

Solution:

  1. Go to Company > Setup > Company.
  2. In the Legal name field, add your company name as it should appear on tax forms.\
    If you are filing at the entity level and you selected Enable legal name and address on 1099 and 1096 forms in the entity record, go to Company > Setup > Entities, click Edit next to the entity where you received the error, and update the Legal name field.
  3. Submit the forms again.

If the error persists, your designated support user can contact customer support.

You might receive an error when you try to send a batch of 1099 forms to TaxBandits and do not have any payer information entered for your organization.

Learn how to update payer information. Then, resubmit the batch.

Learn how to add or correct vendor 1099 contact information.

Create a 1099 supplier contact verification report to check 1099 contact records against the primary contact record assigned or validate that the 1099 contact information is correct.

How the tax ID appears on 1099 forms depends on the configuration set in Multi-Entity Management.

When Issue a separate 1099 per entity is not selected, the multi-entity structure behaves as if it were one company. In this mode, typically the top-level company prints one set of 1099 forms for all entities and all suppliers and employees. The 1099 forms contain the company name, address, and tax ID of the top-level entity, even if a subordinate entity made the payment.

You might see a status of "Failed" for a batch on the 1099 e-file submissions page. When you click the Action link and select View errors, you see an error of "Authorization failed". This means that the connection was lost between Sage Intacct and TaxBandits and that the batch was not received.

Wait awhile and try to submit the forms again. If the error persists, your designated support user can contact customer support.

If you are filing from the top level and your batch fails with a PAYERID error, this means that Legal name field in the Company contact record is empty. To resolve this, update the company record to provide a legal name and submit the batch again.

When filing from the entity level, PAYERID is taken from the entity record. If Enable legal name and address on form 1099/1096 is selected, PayerID uses the Legal name. If this option is not selected, PAYERID uses the name provided in the Print entity name as field. To correct the PAYERID error, edit the entity record and submit the batch again.

Batch status

Depending on how many files are in a batch, it can take some time for it to arrive in TaxBandits. Refresh the page to view the latest batch status.

If after some time the batch is still in progress, your designated support user can contact Sage Intacct customer support.

You might need to resubmit a batch if you see a status of "Failed" on the 1099 e-file submission page. This might happen if there's:

  • a connection error between Sage Intacct and TaxBandits.

  • incorrect or missing information in the batch.

    In this case, update 1099 information before you resubmit a batch.

If the batch continues to fail, your designated support user can contact Sage Intacct Customer Support.

Workflow

Before you start e-filing, make sure you review these prerequisites.

In Sage Intacct:

  1. Subscribe to Sage Cloud Services.

    Go to Company > Admin > Subscriptions > Sage Cloud Services and toggle the switch. Then, select Subscribe.

    You do not need to enable any of the features within Sage Cloud Services, just a subscription to the module is enough.

  2. Select Enable 1099 e-filing powered by TaxBandits on the Configure Accounts Payable page.

  3. Verify that you have Accounts Payable permissions for Form 1099: Run.

  4. If you are filing at the entity level, or are filing at the top level and have suppliers that were created at the entity level, enable Issue a separate 1099 per entity in Multi-Entity Management.

    If E-file submissions is available in the Accounts Payable menu when you are in an entity, this means that Issue a separate 1099 per entity is already enabled.

In TaxBandits:

Create a TaxBandits account. How you create the account is important, so make sure to read the Help topic.

After the prerequisites are taken care of, you can create a batch of 1099 forms to send to TaxBandits for e-filing.

When you see a status of "Submitted" for the batch on the 1099 E-fle Submissions page, TaxBandits has received the batch. Log in to your TaxBandits account to complete the e-filing process. There, you can handle any state filing you might need to do, send out forms via mail, and grant online access to recipients.

You already created a batch of 1099s in Sage Intacct and sent it to TaxBandits for processing. When you see a status of "Submitted" for the batch on the 1099 e-fle submissions page, TaxBandits has received the batch. Log in to your TaxBandits account to complete the e-filing process. There, you can handle any state filing you might need to do, send out forms via mail, and grant online access to recipients.

The IRS accepts 1099 e-filing submissions for the 2024 tax year in January.

To get a head start, create batches of 1099 forms in Sage Intacct, send them to TaxBandits. Then, review and adjust the data in preparation for e-filing.

Depending on how many files are in the batch, it can take some time for the batch to arrive in your TaxBandits account. You can refresh the list of batches to view an updated batch status.

You might need to resubmit a batch if you see a status of "Failed" on the 1099 e-file submission page.

This might occur because of:

  • a connection error between Sage Intacct and TaxBandits.

  • incorrect information in the batch.

If there's incorrect information, update 1099 information before you resubmit a batch. If the batch continues to fail, your designated support user can contact customer support.

Make sure to allow pop-ups in your browser, and try again.

When you create a batch of 1099 forms and are about to send to TaxBandits, we let you know if you're already logged in to a TaxBandits account on the E-file with TaxBandits pop-up. You might need to send the batch to a different TaxBandits account which you can do by following these instructions.

To view batches created by other users, you must be a staff member or admin on the same TaxBandits account.

Ask the person who created the account to add you as a staff member. Read the TaxBandits Knowledge Base article for more information.

When you create an account before you accept an invitation, TaxBandits creates an admin profile in that account. After you accept the invitation, TaxBandits adds a staff member profile. The conflict between these two profiles means you cannot send 1099 batches from Sage Intacct to TaxBandits.

If you have not yet e-filed any forms with the IRS within TaxBandits, contact TaxBandits support and ask them to delete the admin profile from your account. Your staff member profile remains active so that you can create, edit, and view batches.

If you have any of the forms have a status of Transmitted/Accepted in TaxBandits, customer support cannot delete your admin profile. In this case, ask the person who created the staff account to add you as a staff member using a different email address. This allows you to create new batches and view the batches created by other staff members. However, only you can view the forms you transmitted, using the original account.

Switch to the staff member account when you create a new batch.

Alternatively, you can log out of your personal TaxBandits account and then log in to the account where you are a staff member, on the TaxBandits website.

If you are a staff member for multiple accounts using the same login credentials, there are limitations on what you can do:

  • You can view and edit batches of 1099 forms submitted by other staff members from within TaxBandits.

  • You cannot create, view, or edit batches of forms within Sage Intacct.

To view batches, go to your TaxBandits dashboard and select the staff member account you want to use. From there, you can view submissions prepared by other staff members.

To create batches within Sage Intacct, ask the person who created the staff account to add you as a staff member using an email address not associated with a TaxBandits account.

If your TaxBandits account has multiple staff members and the TaxBandits admin user is leaving your company, contact TaxBandits customer support and ask how to change the admin to a different user.

Your designated support user can contact Sage Intacct customer support if you have a batch of 1099 forms that's:

  • stuck in progress on the 1099 E-file Submissions page, or

  • continues to fail even after you have solved any errors.

For issues occurring after you send the batch to TaxBandits, contact TaxBandits support. For example, if you need help submitting the batch to the IRS or correcting information within TaxBandits, contact TaxBandits support center.

Contact TaxBandits support at (704) 684-4751 or support@taxbandits.com.